"We now propose to support the mineral-rich states of Odisha, Kerala, Andhra Pradesh, and Tamil Nadu, to establish dedicated rare-earth corridors, to promote mining, processing, research, and manufacturing," Finance Minister Nirmala Sitharaman said that she updated the focus f the scheme for rare-earth permanent magnets, which was launched in November 2025.
Apart from these, Sitharman also announced that the Centre would launch a scheme to support states in setting up three dedicated chemical parks to enhance domestic production and reduce import dependency.
These were among some of the surprise gems that the finance minister dropped as she tabled the Union Budget 2026-27 in the Parliament on Sunday, February 1.
Specific proposals outlined by Finance Minister Nirmala Sitharaman
The finance minister proposed immediate budgetary interventions in six areas:
1. Scaling up manufacturing in 7 strategic and frontier sectors
2. Rejuvenating legacy industrial sectors
3. Creating champion MSMEs
4. Delivering a powerful push for infrastructure
5. Ensuring long-term security and stability
6. Developing city economic regions
